Loan advice help needed !!

seagull1983

Hi,

Ill just give a few basics :

Mortgage paid off
Trying to sell a flat so money will hopefully come in within the year
I have low paid job and business we have is breaking even but expected to make profits next year. Need about £10,000 to get by until flat is sold but struggling to get a loan and shortest mortgage is 5 years ! What's the best option ? I presume its loan against the properties ? I'm no good with money and there must be somebody who knows on here . Thanks in advance.

Tixy

Hi

With a low income it sounds like a personal loan will not be an option.

Many conventional mortgage products have a minimum amount that is much higher than you need to borrow.

A bridging loan could be an option but they do tend to be expensive if its for more than a few months.

A secured loan may therefore be the remaining option.
If you do go for a secured loan then ideally look for a fixed APR or tracker APR not a variable one. And look at the early repayment penalties on any product you consider.

Are you able to service the loan repayments during the year? or are you planning to borrow so that you will repay the loan repayments for that year out of the capital borrowed?

seagull1983

Hi, thanks for reply. Yes I would be looking to put aside money from the loan to pay it off each month For approx a year. HSBC said they had a minimum of £25,000 I had to borrow over 5 years ! And I can't get a high personal loan as I don't earn enough. It's a strange situation to be in, a nice one I suppose but very alien to me .